Huawei still has significant losses though
When Huawei was first put in the US’ Entity List last May, many experts predicted dire consequences for the company’s bottom line. Even Huawei founder and CEO Ren Zhengfei said that the US ban would cost the company around $30 billion in revenue back in June.
But more than three months from the time the company was effectively blacklisted by the US, it looks like the damage isn’t as bad as was originally thought.
An update given by Huawei rotating chairman Eric Xu says that the company’s consumer business group which handles smartphone sales that they only stand to lose a little less than that, saying that a sales reduction of around $10 billion could still happen.
Huawei was on track to surpass Samsung as the biggest smartphone manufacturer this year until their placement on the Entity List, though sales of their smartphones surged after their problems in the US thanks to patriotic sales and aggressive promotions by the brand.
The US earlier gave the company another 90-day reprieve that allows Huawei to purchase parts and technology from US-based firms in order to supply existing customers.